Swiss Self-Exclusion Rules Trigger Casino Crisis in Liechtenstein as Revenues Collapse

Liechtenstein’s casino industry has suffered its sharpest downturn on record, with gambling revenues falling by more than half in 2025 after thousands of Swiss player exclusions were extended across the country’s casinos.

Read more Spurs’ Victor Wembanyama bares emotions on being NBA 2k27 cover athlete and Nike Atelier star

Casino gross gaming revenue dropped to CHF57.3 million (€61.5 million), down 59% from CHF140.8 million (€151.1 million) a year earlier. The decline erased CHF83.5 million (€89.6 million) in revenue in just 12 months and has pushed several operators out of the market.

The collapse has exposed how heavily Liechtenstein’s casino sector relied on visitors from neighbouring Switzerland, a customer base that was suddenly reduced after a cross-border self-exclusion agreement came into force.

Swiss restrictions hit a small but dependent market

Liechtenstein has long had an unusually dense casino market for a country of its size. Regulated under the 2010 Gambling Act, the sector became a significant source of tax income and tourism activity.

But the expansion came under pressure in January 2025 when an agreement introduced around 10,000 additional Swiss casino self-exclusion orders in Liechtenstein venues.

The measure was designed to extend existing player protection rules across borders. For operators, the impact was immediate. A large share of their regular customers could no longer access casinos in the country.

The damage was visible across almost every major venue.

Grand Casino Liechtenstein remained the market leader, generating CHF22.9 million (€24.6 million) in gross gaming revenue. Despite holding around 40% of the market, its income dropped 62.4% compared with the previous year.

Casino Schaanwald, operated by Casinos Austria, performed better than most competitors. Its revenue declined by 14.3% to CHF13.3 million (€14.3 million).

Other operators faced much steeper losses. Casino Admiral Ruggell recorded CHF11 million (€11.8 million) before closing in September, following a 75.3% revenue decline. Casino Admiral Triesen reported CHF6.6 million (€7.1 million), down 41.8%.

The only casino to grow was Alpin Royal Casino in Schaan, where revenue increased 43.3% to CHF3.2 million (€3.4 million). The gain came from a much smaller starting point and was not enough to offset the wider industry decline.

Read more North Macedonia Introduces State Monopoly on Online Gambling

Tax income falls as closures reshape the market

The financial impact has reached beyond casino operators.

Direct casino tax revenue fell 63% to CHF20.3 million (€21.8 million), compared with CHF52.8 million (€56.7 million) the previous year. For the government, the drop represents a significant reduction in gambling-related income.

The number of operating casinos has also continued to shrink.

LV Casino Eschen closed in January 2026 after generating only CHF344,000 (€369,000) in revenue, while Plaza Casino, operated by BestWin, reported no gaming revenue during the year.

By July 2026, only four casinos remained active: Grand Casino Liechtenstein, Casino Schaanwald, Casino Admiral Triesen and Alpin Royal Casino.

The downturn marks a dramatic reversal for an industry that had expanded rapidly. Between 2017 and 2025, Liechtenstein casinos generated CHF771 million (€827 million) in gross gaming revenue and delivered CHF282 million (€302 million) in gambling taxes to the state.

Political pressure grows around casino model

The future of gambling in Liechtenstein has been debated for years.

In 2023, citizens voted on a proposal to ban land-based casinos and move away from the country’s reputation as the “Las Vegas of the Alps”. The initiative was rejected, with 73% of voters opposing the ban.

The discussion did not disappear. Concerns over the concentration of casinos in small municipalities have continued, even among supporters of the industry.

Casino Association President Markus Kaufmann has described the current market conditions as economically unsustainable and called for government action to protect the sector. He has argued that casinos should be considered part of Liechtenstein’s tourism and leisure economy, not only as gambling businesses.

Recovery options remain limited. The government has kept its suspension on new online gambling licences in place until the end of 2028, preventing new digital operators from entering the market.

For now, Liechtenstein’s casino industry is facing a difficult adjustment period. A sector that once delivered hundreds of millions in revenue is now trying to survive with fewer venues, fewer customers and a business model forced to change almost overnight.

Read more North Macedonia Introduces State Monopoly on Online Gambling

Source: igamingexpert.com